2025 restaurant closures: Starbucks, Wendy’s shutter locations


As the restaurant industry endured another difficult year, many chains opted to close underperforming locations as they try to turn around their businesses.

Inflation-weary consumers have pulled back their restaurant spending, choosing to eat at home or chasing deals when they go out for a meal. While some restaurants have won over reluctant diners, the industry has largely struggled with the sales slump. Traffic to restaurants open at least a year fell every month in 2025, excluding only July, according to Black Box Intelligence.

In years past, restaurant closures have been more concentrated across casual-dining chains, which lost customers to fast-casual competitors like Chipotle. But this year, chains across the industry announced plans to shutter at least hundreds of locations.

In such a tough environment, some restaurant companies even filed for bankruptcy protection. Hooters, Pinstripes and On the Border were some of the notable names that landed in bankruptcy court this year.

Here are the chains that announced closures in 2025:

Starbucks

A Starbucks coffee cup sits on a table inside a Starbucks in New York on Dec. 2, 2025.

Spencer Platt | Getty Images News | Getty Images

Wendy’s

A Wendy’s restaurant sign in Austin, Texas, Nov. 10, 2025.

Brandon Bell | Getty Images News | Getty Images

Denny’s

A view of a Denny’s restaurant in Hayward, California, Feb. 14, 2025.

Justin Sullivan | Getty Images

Jack in the Box

Geri Lavrov | Getty Images

Bahama Breeze

Hardee’s

Dozens of Hardee’s locations will close by end of the year after the franchisor sued ARC Burger, one of its largest franchisees. Hardee’s alleges that the operator fell behind on payments like royalties, rent and taxes.

ARC, which is owned by private equity firm High Bluff Capital Partners, operated 77 Hardee’s restaurants before the legal battle began. Its footprint stretched across eight states, including Alabama, Florida, Georgia, Illinois, Missouri, Montana, South Carolina and Wyoming, according to legal filings.

Papa John’s

The Papa John’s Pizza logo is shown in Austin, Texas, May 9, 2024.

Brandon Bell | Getty Images

Noodles & Co.

Michael Siluk | UCG | Universal Images Group | Getty Images

Outback Steakhouse

An Outback Steakhouse restaurant in Daly City, California, Jan. 31, 2025.

Justin Sullivan | Getty Images


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